Fortescue attributes lower Q3 iron ore shipments to derailment and weather

As well as keeping China’s steel mills rolling and bulk ports busy, seaborne iron ore shipments have kept Australia one step ahead of the recessions that have gripped other commodity-heavy economies.

There are strong signs the Australian commodities cycle has bottomed, and a new investment phase may be about to begin.

Despite the downturn commodity prices, Australian exporters remain upbeat about their prospects.

A coordinated rescue effort by creditors, suppliers and service providers – bolstered by a very modest recovery in global prices has seen Pilbara producer Atlas Iron resume production at three mines.

Australia’s Fortescue Metals Group (FMG) is backing its confidence in Chinese iron ore demand by letting contracts for a fifth export berth at Anderson Point in Port Hedland. In early February, FMG awarded the BAM Clough joint venture the principal contract to design and build the new facility, which will include a 306m wharf extension, seven berthing dolphins and wharf conveyor modules. Construction is expected to begin in May.

Junior miners in the northwest of Western Australia are intensifying efforts to evaluate a new, independent, multiparty rail system to connect iron ore mines in the East Pilbara to Port Hedland.